Bangkok--22 Oct--SET
The Stock Exchange of Thailand (SET) will list R&B Food Supply pcl, a food ingredient manufacturer and distributor, on October 24, under the ticker symbol "RBF". The company has a market capitalization at its initial public offering (IPO) of THB 6.60 billion (approx. USD 213 million).
SET Senior Executive Vice President Manpong Senanarong said that RBF would list and start trading on SET in the Agro & Food industry group, Food & Beverage sector.
RBF produces and distributes food ingredients, consisting of six business lines (1) food flavoring and coloring products as well as substances used in fragrances and cosmetics, (2) Food coating products, (3) dried products, (4) frozen foods, (5) plastic packaging, and (6) trading goods related to food additives such as preservatives, salicylic acid and citric acid. In addition, the company also owns two hotels namely Ibis Style Chiang Mai and Novotel Chumphon Beach Resort & Golf.
RBF has a registered paid-up capital of THB 2 billion with a par value of THB 1 each. It offered 520 million newly issued shares to persons under the underwriters' discretion, patrons, directors, management team, employees and institutional investors during October 16-18, 2019 at THB 3.30 each for a total of THB 1.72 billion. Asset Pro Management Co., Ltd. is its financial advisors, while Finansia Syrus Securities pcl and Kasikorn Securities pcl act as lead underwriters.
RBF Chief Executive Officer Somchai Ratanapoompinyo said that the listing will strengthen the company's business, and facilitate business expansion of the company's group to maintain leadership in integrated food ingredient business. The fund raised would be used for opening a representative office and laboratory for research and development in Singapore, a trading hub of flavor enhancers; a plant construction to produce and sell breadcrumbs and flours in Indonesia, and machinery upgrade including acquisitions to enhance production efficiency of breadcrumbs, crispy flour as well as fully-automatic flavor enhancers.
RBF's major shareholders after IPO are Mr.Somchai Ratanapoompinyo Group (73.87 percent), San-Ei Gen F.F.I., Inc. (0.75%) and Bualuang Long-Term Equity Fund (0.46%). The IPO price was set by a book building process, equivalent to price-to-earnings (P/E) ratio of 22 times, calculated by using the company's net profit in the past four quarters (July 1, 2018 - June 30, 2019), divided by fully diluted shares, representing earnings per share of THB 0.15.
The company's dividend policy is to pay no less than 40 percent of net profit from the separate financial statement after corporate income tax and legal reserves.
For more information on RBF, please see the company's prospectus at the Securities and Exchange Commission's website at www.sec.or.th; and for general information, please visit www.rbfoodsupply.co.th, as well as www.set.or.th.